Melstar Information Technologies Limited has informed the Exchange regarding 'Audited Financial Results (Standalone & Consolidated) for the quarter and year ended 31st March 2026'.
Awaiting price reaction for this filing.
Melstar Information Technologies reported audited standalone net profit of Rs 44.72 lakhs (EPS Rs 1.60) and consolidated net profit of Rs 10.29 lakhs (EPS Rs 0.37) for FY 2025-26. The company posted total income of Rs 75.00 lakhs with minimal operating costs (standalone expenditure Rs 30.28 lakhs). The statutory auditor CKSP & Co LLP issued a Qualified Opinion on both standalone and consolidated results, citing the corporate insolvency proceedings admitted by NCLT Mumbai in October 2019 under IBC. The auditors noted material uncertainty regarding the company's ability to continue as a going concern, though management claims various cost-saving and revenue initiatives are underway. The company also announced resignation of Independent Director Mr Rajnikant Patel and appointment of Ms Ayushi Singh Bais, along with changes in internal and secretarial auditors.
The qualified audit opinion with going concern uncertainty is a significant red flag for investors. Despite showing profit this year, the company remains under IBC proceedings since 2019 and awaits operational licenses. The small revenue base (Rs 75 lakh) indicates limited business operations, and the ongoing restructuring makes the stock high-risk with uncertain recovery prospects.